Seat No.: ________ Enrolment No.

___________

GUJARAT TECHNOLOGICAL UNIVERSITY

MBA - SEMESTER– II EXAMINATION – WINTER 2019
Subject Code: 3529208 Date: 3-01-2020
Subject Name: Entrepreneurship
Time: 2.30 PM to 5.30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.

Q.1. Answer the following questions in brief: 14

(a). What is entrepreneurship?

(b). What are the advantages of being entrepreneur?
(c). Define MSME.
(d). What is the relation between innovation and entrepreneurship?
(e).What is NABARD?
(f). What is intrapreneurship?
(g). What all are the sources of information for EoDB?

Q.2.(a). Who is an Entrepreneur? Differentiate between Entrepreneur and manager with suitable
examples. 7

Q.2.(b). Give an overview of the progress of entrepreneurship development programs in India.7

OR

Q.2.(b). What is stand up India? Explain with reference to women and minority entrepreneurs. 7

Q.3.(a).What is MSMED Act 2006? Explain the current scheme for the growth and development
of MSME in Gujarat. 7

Q.3.(b). What is Ease of Doing Business? What all are the determinants of EoDB? 7

OR
Q.3.(a). Explain the components of business Plan. What are the reasons behind the failure of the
business plans? 7

Q.3.(b). What all are the Institutions in India at Central and state level supporting the business
enterprises? Explain in brief. 7

Q.4. Case Study

The story of redBus

 redBus is India’s largest ticket booking system and positioned as a platform for a
centralized reservation system in India. redBus offers bus ticket reservation through its Website
and over the phone. Customers can also get bus tickets delivered to their home and pay through a
range of payment options. The company offers a ticket inventory for over 1.8 lakh bus routes
across India, operated by more than 700 bus operators. The company sold about 40-50 lakh tickets
during the financial year 2012. It sold more than 100 lakh seats and has recorded a registered
consumer base of 20 lakh, reporting an average growth rate of 250 percent during the last five
years.
The company was founded in 2006 by Phanindra Sama, Charan Padmaraju and Sudhakar
Pasupunuri, who were class mates from BITS Pilani. All the three founders who used to work in
Bangalore with top IT MNCs such as IBM, Texas Instruments and Honeywell quit their well
paying, secured jobs for redBus. During the Diwali season of 2005, Phanindra Sama wanted to
spend the festival in his home town but was not able to buy a ticket. He never made it home and it
was the beginning of redBus.Phanindra realized the need for the system, which could be used by
bus operators to display their seats and remove middlemen from the ticket reservation process. He
decided to bring to those travelling by buses the same convenience that consumers enjoy while
booking air tickets online.
Once Phanindra and his two co founder felt that they understood the business, they
developed a plan and submitted it to the TiE, Bangalore chapter (the Indus Entrepreneur)
mentorship competition. They were among the three winners. The initial seed funding and
mentoring was provided by TiE and the founders also made personal investments to launch their
portal and service. redBus has raised more than $75 lakh from three rounds of funding. In 2007,
the company raised 1000,000 USD in angel funding from Seedfund, an early stage investor. In
2009, the company received an undisclosed second round funding from Inventus Capital partners
and Seedfund. Again, during May 2011 redBus raised $65 lakh from Helion Venture Partners,
Inventus Capital Partners and seedfund in its Series C funding.
Today, customers can book return tickets, get standard fares, and comprehensive
information from a single source. Travel agents can bill more by offering return tickets and get
access to all bus operators instead of only a handful. Bus operators realize their payments on the
day the customer travels unlike the 3-4 weeks it took earlier. Updates are available on extra buses
during festive occasions. redBus is looking for business expansion and is in talks with a few offline
bus ticketing companies in Singapore and Malaysia.

Questions:

Q.4.A. How could redBus attract funding from investors in the initial stages? 7
Q.4.B. What was the value position for investors? 7
OR
Q.4.A. According to you, how should redBus raise finance from the market for business
expansion? 7
Q.4.B. Throw a light on the scenario, with reference to the business opportunity for redBus. 7

Q.5.Case Study:

Amul- The Taste of India

The Gujarat Cooperative Milk Marketing Federation (GCMMF) is a farmer’s cooperative in India
marketing dairy products in the state of Gujarat. GCMMF was established in 1973 and is India’s
largest marketer of food products. It is a state level apex body of milk cooperatives in Gujarat. The
Federation aspires to provide competitive returns to the farmers and also to serve the interest of
consumers by providing quality products at reasonable prices. Its flagship brand Amul (Anand
Milk Union Ltd) has become one of the best recognized brand names in India.
CGMMF is india’s largest food products marketing organization with an annual turnover
of USD 250 crore (2011-12). Its milk procurement is approximately 130 lakh litres per day from
16,117 village milk cooperative societies, 17 member unions covering 24 districts, and 31.8 lakh
milk producer members. The GCMMF is also India’s largest exporter of dairy products and has
been accorded “trading house” status. The establishment of Amul heralded the white revolution in
India.
The Amul model of dairy development has a three tier cooperative structure. The dairy
cooperative societies at the village level are affiliated to a milk union at the district level, which in
turn are grouped under a milk federation at the state level. Milk collection is carried out at the
village dairy society, milk procurement and processing at the district milk union, and the marketing
of milk and milk products at the state milk federation. The entire institutional infrastructure set up
at the village level, the district level, and the state level is owned and operated by farmers. Amul’s
mission is the development of the farmers, nutrition to the nation, and the real development of
India.
The Amul model is also known as the Anad pattern of dairy cooperatives. The model
eliminated middlemen and brought the consumers in direct contact with the consumers. It also
gives a fair price to the farmer and good quality milk and milk products to the consumer. The
assured market for milk has improved the quality of life of farmers. Milk producers (farmers)
control procurement, processing, and marketing. The hallmark of the Amul model is the
maximization of profit and productivity by cooperative efforts and by utilizing resources in the
most profitable manner by professional management at the grassroots level. The spread of the
cooperative movement in the villages contributed to positive social changes in the community.
The Amul brand is the movement representing the economic freedom of farmers. It has given
farmers the courage to dream, hope and live.
The GCMMF is the recipient of many awards and accolades for its consistent adherence to
quality, customer focus, and dependability. It begged India’s Most Respected Company Award
instituted by Businessworld 2002. It was awarded the IMC Ramkrishne Bajaj National Quality
Award in 2003. The GCMMF is the first only Indian organization to win the topmost International
Dairy Federation Marketing Award for the launch of probiotic ice cream in 2007. The GCMMF
has been awarded the “Golden Trophy” for its outstanding export performance and contribution in
the dairy products sector by APEDA for 2009-10.
Questions:

Q.5.A. What are the key success factors of the Amul model? 7
Q.5.B. Is it possible to replicate Amul model across India? 7
OR
Q.5.A. Comment on the statement “the cooperative movement has given farmers the courage to
dream, hope and live.” 7
Q.5.B. What are the challenges which the Amul has to face? 7